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Banana Republic News
At the Gap chain in North America, June same-store sales rose 3%, driven by the store's summer sale. The sale was launched one week earlier than last year, Gap said in a prerecorded message.

At Gap, sales of women's clothing outperformed men, bolstered by strong sales of skirts and capris. Polo shirts and basic tees sold well for men.

The company said it saw weaker-than-expected customer response to the summer sale at its Banana Republic chain, where June same-store sales dropped 6%. The company said woven shirts and outerwear performed well in the women's division, while suits and accessories sold well for men.

Gap's Old Navy chain posted flat same-store sales, as strong sales of women's clothing offset weakness at other divisions. Pants, skirts and knit tops were among the popular items for women at Old Navy, the company said.

Gap Inc. (GPS) reported flat June same-store sales, better than analysts' estimate for a 1.5% decline, as weak results at Banana Republic offset growth at the company's namesake chain.

The clothing retailer also reiterated its earnings expectation for the full year.

For the five weeks ended July 2, Gap's total sales grew 3% to $1.52 billion from $1.48 billion a year earlier, the company said in a press release Thursday.

"June was a transitional month as all of our brands worked to clear summer merchandise in preparation for new product flows which will arrive in July," said Sabrina Simmons, senior vice president, treasury and investor relations, in the release.

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